This note is provided for the Department of Health (Northern Ireland) (DoH NI) in its role as the responsible authoity for the Firefighters' Pension Schemes in Northern Ireland. This note relates to commutation of small pensions in accordance with the Firefighters' Pension Scheme Regulations (Northern Ireland) 2015 (the 2015 Scheme Regulations). It sets out the general method for calculating the cash value for the purpose of commutation of small pensions.

The DoH NI as responsible authority under the Public Service Pensions Act (Northern Ireland) 2014 is required under the 2015 Scheme Regulations to issue actuarial guidance on the commutation of small pensions.

This guidance relates only to benefits accrued under the 2015 Scheme Regulations. Some firefighters may also have benefits under the Firefighters' Pension Scheme 2007 or the New Firefighters' Pension Scheme 2007 which should be dealt with separately according to relevant scheme guidance.

The scheme manager may commute small pensions under the 2015 Scheme Regulations.

The responsible authority is required to consult the scheme actuary before issuing actuarial guidance.

As part of this consultation the responsible authority has asked the Government Actuary's Department (GAD), as scheme actuary, to recommend actuarial guidance in respect of the regulations detailed below.

The following changes have been made when reviewing this guidance:

• Important information around the expected audience for the guidance, use of the guidance, review of factors, compliance and limitations applies across all sets of guidance. Rather than being repeated in each set of guidance, this can now be found on the scheme home page. It is important to read this information alongside the guidance.
• Calculation methodology: No changes have been made to the calculation methodology.
• Examples: There are no examples in this guidance. Worked examples, using the calculation methodology, can be found in prior versions of the guidance (though please note that these use historic factors).
• Factor tables: The "Factor Tables" tab contains the names of the tables that are referenced in the calculation methodology. The tables of factors themselves can be found in the most recently published "Consolidated Factors Workbook" which is available by clicking the "Download current Consolidated Factors Workbook" button on the scheme's home page.
• Assumptions: The key assumptions underlying the factors in each note are contained in the Consolidated Factors Workbook.
• Regulations: The regulations that require the production of the actuarial factors and/or guidance that is the subject of this note are summarised in the "Regulations" tab.